For first-time and more seasoned buyers alike, one of the first questions they must ask themselves when looking for a property is, should they buy a new-build or should they look at buying a house with potential, but that needs a little extra work? Both new-builds and renovation projects come with their own sets of pros and cons, so we’ll take a closer look at some of them in this post to help you decide which may be right for you.
New-Build
New-build sites such as Wyndham Ridge are cropping up all over the place, advertising beautiful views, prime locations and modern houses – but what do they deliver?
Pros of a new build
- They’re new
Perhaps the most obvious pro of a new build home is precisely that, it’s new – which means it tends to be free of faults and flaws that many homes gain with age and you can move in knowing that you should have many years before you need to start making any dramatic renovations. New properties are also built to higher energy efficiency standards that can save you money. - They often come with a guarantee
New-build sites often come with guarantees of up to 10 years, meaning that should anything go wrong in your home within that period, it will be fixed, free of charge. - They’re community-focused
Many new-build developments have a strong community focus and include elements such as children’s play parks and community meeting points to make them feel like a part of their own village. - They’re a blank canvas
A new build property is an ideal blank canvas and some companies will even let you choose your own fittings if you are buying off-plan.
Cons of a new build
- They lack character
New-build homes tend to be a part of a larger new-estate in which many of the homes look the same, lacking character. - They can be more expensive
Purchasing a brand-new home can be more expensive than buying a run-down property and doing it up. They also may come with a service charge which must be paid annually for the upkeep of the communal areas. - They can encounter issues
New homes haven’t proven that they can stand the test of time and you could experience issues once the house begins to settle.
Renovation Projects
Renovation projects are a popular choice with those looking to turn a profit on a home, but do they really work out better?
Pros of a renovation project
- Character
Perhaps the biggest pro of a renovation project is that the property will likely have history and character. - Profitability
A new build property will only increase in value if the area it is in increases in value, a renovation property, on the other hand, can increase in value due to the renovations you make and therefore can turn a quicker profit. - Room for negotiation
Renovation properties usually have room for price negotiations as you are dealing with a single owner rather than a corporation. This can make them more affordable for first-time buyers.
Cons of a renovation project
- They require effort
The biggest con of a renovation project is that they require effort, whether that be from a builder or your own fair hand. - Costs can build-up
Renovations can reveal hidden issues causing renovation costs to rise and making the project potentially more expensive than planned. - Chains
Many renovation projects come with a chain, meaning that you’ll be waiting for other parties to sell their home before everything can go through.
Conclusion
New-build homes and renovation projects clearly sit at opposite ends of the spectrum, and which you choose will largely depend on how much effort you want to put into the property, the importance of character and how much you’re willing to spend. Only once you know what your priorities are with your property can you decide which to buy.
